Nillion token blames unnamed market maker for causing token crash
The post Nillion token blames unnamed market maker for causing token crash appeared on BitcoinEthereumNews.com.
Nillion (NIL) extended its losses, sinking to an all-time low. The token crashed following unauthorized selling from a market maker. Nillion (NIL) is the latest token to crash based on rogue activity from a market maker. The asset saw erratic price action starting on Wednesday, and extended its slide to an all-time low. NIL slid to $0.11 following reputational damage from the project. The token started trading at $0.72 in April and has been sliding ever since, with small relief rallies. Nillion was a recently launched computation and storage network with privacy features. The services allowed the building of personalized AI, encrypted databases, and privacy-preserving applications. Nillion blames NIL slide on actions of unauthorized market maker More than 31% of NIL trading volumes are concentrated on Binance. This brings additional liquidity to NIL, while also making it vulnerable to large-scale traders. Many new tokens use market makers, though usually the special traders provide liquidity on both sides of the market. This time, the market maker sold aggressively, causing the steep crash from $0.19 to $0.11. Previously, Binance banned some market makers for crashing the price of new tokens. Nillion team attempts to compensate traders NIL is a highly liquid token with over $151M in volumes for the past day. During the recent sell-off, NIL posted the highest volumes since its market debut in April. NIL crashed rapidly, reflecting the activity of a market maker that dumped the token, unauthorized by the Nillion Association. | Source: Coingecko The token also has a small derivative market with $11M in open interest, causing nearly $800K in liquidations during the recent crash. The team did not expect the crash, and later investigated the main reason, connecting the selling to the market maker. “Our entire team was confused until we realized what happened: a market…
Filed under: News - @ November 20, 2025 7:27 pm